Project Overview

A Private Country Club Community featuring a

Greg Norman Signature Golf Course

Presented by:

Project Background

Vellano is a private country club community featuring a Greg Norman Signature Golf Course. It is located in the heart of Chino Hills,California, which is approximately 30 minutes east of Los Angeles. The original entitlement included 205 lots, a golf course and two public parks. When Southcreek joined the development team, the community had been in the “making” for over 14 years.

The area of Chino Hills is known for its Dairy Farms and Cattle and not necessarily high-end housing (although the median area income is higher thanthat of Beverly Hills.) At groundbreaking, the average home price in the area was $650,000.

We saw the potential of the land, the market and the team and were confident that we could make it a home run.

We are certain that you will agree…

Project Management by Southcreek

1. Assist in the assembly of the Development Team

2. Assist in the design of the Overall Community Master Plan

3. Conduct Initial Market Feasibility and Focus Studies

4. Create Project Pro Forma

5. Determine Lot Pricing

6. Recruit and Sell Developer Lots to Builders – Oversee Program

7. Create Consumer Lot Sales Program

8. Set up On Site Real Estate Brokerage Company

9. Oversee Building and Design of the Sales Center

10. Hire and Train all Real Estate Staff

11. Create & Implement Overall Sales and Marketing Plan

The Goals - Lot Sales

Initial Developer Lot Sales Goals:

205 lots to semi-custom builders @ $350k each = $71,750,000

Updated Lot Sales Goals based on Southcreek Program:

153 lots to semi-custom builders @ $500k each = $76,500,000

52 lot sales to consumers @ $950k each = $49,400,000

Builder Marketing Fees = $1,860,000

Builder Profit Sharing = $2,000,000

Total Sales Goal= $129,760,000

Updated Sales Goals increased Developer Revenue by: $58,010,000

Lot Sales to Date

Lot Sales to date as of May 11, 2006

107 lots to semi-custom builders = $48,713,000

27 lot sales to consumers = $21,371,117

Builder Marketing Fees = $908,000

Builder Profit Sharing = $1,000,000

Total Revenue to date = $71,092,117

134 lots sold to date – 71 remaining

The Goals - Builder Home Sales

Initial Home Sales Goal:

51 homes – Shea Homes @ $1mm each = $51,000,000

52 Homes – Brookfield Homes @ $1.2mm each = $62,400,000

50 homes – Barratt American - $1.5mm each = $75,000,000

Total Homes Sales Goal = $188,400,000

Builder Home Sales to Date

Home Sales to date as of May 11, 2006

30 Homes – Shea Homes @ $1.5mm each = $45,000,000

41 Homes – Brookfield Homes @ $1.7mm each = $69,700,000

23 Homes – Barratt American @ $2mm each = $46,000,000

Total Homes Sales: $160,700,000

94 homes sold to date – 59 remaining

The Laurel Awards

The Laurel Awards is one of the building industry’s premier awards programs in Southern California. The program encompasses all aspects of sales, marketing and merchandising in the new home industry.

We are proud to announce that Vellano has been voted into the prestigious “finals” for an amazing eight categories including Master Planned Community of the Year.

Judging is to take place on Saturday, May 13, 2006.

The Laurel Awards

We are proud to announce that Vellano has been voted into the prestigious “finals” in the following eight categories:

1. Best Master Planned Community2. Best Sales Center3. Best Logo4. Best Advertisement5. Best Website6. Best Graphic Continuity7. Best Brochure8. Best Landscaping

Laurel Awards Category One

Best Master Planned Community

Best Master Planned Community

Laurel Awards Category Two

Best Sales & Information Center

Vellano Sales & Information Center

Sales Gallery

Reception Area & Local Lifestyle

Topography Scale Model

Sitting Area with Community DVD

Homes & Builders

Courtyard & Administrative Offices

Laurel Awards Category Three

Best Logo

Best Logo

Laurel Awards Category Four

Best Advertisement

Best Advertisement

Laurel Awards Category Five

Best Website

Best Website

Laurel Awards Category Six

Best Graphic Continuity

Best Graphic Continuity

Laurel Awards Category Seven

Best Brochure

Best Brochure

Laurel Awards Category Eight

Best Landscaping

Best Landscaping

Why Southcreek?Thank you for the opportunity to share our success story. We believe that the tremendous sales success of this project is a direct result of the programs implemented by Southcreek from day one. Rumor has it that they now call Vellano “the Beverly Hills of Chino Hills.” We certainly take that as a compliment.

At Southcreek, we are proud of our track record and ability to lead some of the most successful residential projects across the country.

Our goals are to:1. Increase Developer Revenue2. Create Faster Absorptions3. Implement successful Sales Programs

(we are not just talk, we take action)

Our clients know that we hold ourselves accountable and treat each and every project as if it were our own.